It can be challenging to choose the funding model … Who Carries Clearco 444 .
Get up to a year of upfront capital instantly, providing you the flexible funding you need to grow your company and scale. We provide the necessary funding you need at that minute. Within 24 hours, we examine the financing needed and deposit it quickly to your account.
Capchase works with these users and company types: Mid Size Company, Small Business, Enterprise, Freelance, Nonprofit, and Government.
what’s much better owning 100 of a 10 million
business or 15 of a 100 million dollar
company the response how about the very best of
both
you’re right with traditional funding
that’s not actually a choice until now
keep your 100 with cap chase we use information
to make financing much faster fairer and more
flexible based on your future
foreseeable revenue and then we wrap it
all up with a single transparent cost
Let’s get this celebration started at
There is always a time when a start-up’s founders, senior management group, and top finance executives examine methods for how to scale the company to the next level and brochure what’s required to do that effectively. Securing financing at an early stage can accelerate development and result in obtainable and measurable success. Eventually, financing managers and the strategic planning group need to choose the right financing source to help the business reach its objectives.
that management sets for the organization. Weighing the risks and competitive hazards in a smart and well balanced method is crucial as it can decide the future of your business The ramifications of offering equity, managing irregular cash flow, interest rate movements, and the requirement to make timely payments to lenders are amongst the factors to consider, just to name a few.
That said, with the rise of brand-new and more sophisticated funding alternatives that put business interests of start-ups and midsize companies first, there’s typically a way to find out a service that’s a great fit. It is very important to examine the different funding options that are available to a business’s founders, management accountants, and finance officers and what considerations they require to produce both the long and brief term.
Lobo here co-founder at traction and boast AI delighted to host Miguel Fernandez co-founder and CEO of capchase a company of non-dilutive growth capital for recurring Revenue business generally assisting companies grow without giving up that valuable Equity you took so long to develop Miguel welcome to traction thank you a lot for joining us Hey Lloyd thank you a lot for having me it’s great to be here yeah I’m extremely thrilled to share more remarkable I’m excited to get into your backstory so let’s kick this off how did you come together with your Founders why cap Chase what else did you think about from what I understood you’re a very first time founder very first time creator it resembles you struck a home run out of the park out of the gates I love it man that’s fantastic well as quickly as they won you know like it’s never ever the Home Run never like never counts until the video game is over best basically so so so yeah um we are 4 co-founders you understand and it’s amusing since we’ve all satisfied through first as friends you know and then as co-founder so uh there’s 3 of us that work together at the same SAS business in in Spain so all of us joined when it was very early I joined as the very first person in sales and there are 2 individuals joined us that as product managers basically and we see the business from zero to a few million err over 3 years and then we left um at the same time roughly I went to service school and I went to organization school on the other one went to do a stint in VC with the goal of going to organization school later on so when I go to service school I I entered into into Harvard and you know I was very thrilled about it my whole goal was to go there to read more about how to become a founder and then hopefully launch something upon graduation and the one that I landed there I was looking into currently an idea with one of these co-founders and it was genuine idea it had absolutely nothing to do or really little to do with what we’re doing now however you understand that was the beginning of the journey and the beginner Journey or the Insight that we had was that hey there remain in specific verticals there are a lot of consecutive payments you understand and circular payments between companies and right now you just need to wait for that series to establish or you know like there’s nobody streamlining those circular payments so we considered hello why don’t we do something comparable to like a split wise or business in verticals such as you understand fried or Logistics or building you understand you have a lots of celebrations that have to wait on different payments like they’re all associated with one way or another so imagine you have a platform and after that you have company a post Company B 100 and Company B Home Business c a hundred dollars in reality with this platform what would happen is a company.
a would pay a hundred the platform Company B zero they would get they would pay absolutely no or get absolutely no and after that company C we get a hundred dollars so when we’re speaking to big companies they all enjoyed it however it was the typical like cold start problem I’m like hey this is great when everybody’s in the platform however until then it’s it’s quite difficult to get people to do anything so it was everything about hey how do we get more information how can we kind of begin this platform um without using the platform to start with so it was everything about getting more information and to get more data we got to 2 conclusions it’s like we either get information through using an Analytics tool a workflow tool or we provide a financing we have a funding and we get the information or individuals offer us information in order to get financing so you know we began doing that like exploring a growing number of and more and after that what we require what we saw is that we understood more about sales than anything else we were really interested in fintech and particularly in financing and you understand like we would look at various modes various verticals and so on for 2 weeks at a time if we discovered enough things we would go for two more weeks if we didn’t would suffice and after that in January 2020 we had the the concept you understand which is funny of using this this SAS companies at all so they could extend terms to the consumers however always get the cash in advance so we’re fixing the funding payment properties business have which is they have in advance costs to acquire clients and then they get paid months of the month right so to prevent that cash card that every SAS business faces and that we dealt with in the past in the previous experience the goal was to provide a tool so they might state to the client hi look the cost is 100
annually and if you wish to pay monthly terrific usage capshase you know um and after that Founders enjoy that they were like hey people this is amazing this is the Holy Grail of SAS because I need to do discount rates so my ACV increases and I can close sales quicker since I’m using flexible payment terms so it resembles the Holy Grail you understand you increase ACV you decrease cell cycle usually it resembles a trade-off you know and then the next thing they stated resembled hey why don’t I do this for all my client base instead of for every brand-new client that I solve so why don’t I do this for my 300 consumers instead of doing it for the internet for the 10 new consumers I get months of a month so then we saw what they wanted was to convert their ARR or the consumer base into in advance financing to be less depending on Equity as I said the beginning yeah okay this is what we’re going to begin with and after that we’re going to learn so much so we’re gon na do the rest later on and that’s when the 4th co-founder joined who has a buddy at HBS and then guy we started working on it like crazy and and dropped out what is your long-lasting Vision so it began with you know you landed on this hate you if you’re resting on ARR we know the business’s uh churn we understand the business’s retention gross margins And so on so I can take their ARR and lend them up front x times times x ARR or times x mrr however what is a long-lasting vision of of the business so for us it’s it’s it’s or it’s all around SAS business right like we only method with such companies intentionally right so we resisted the
urge to go and work with financing you know with any vertical we just deal with SAS so our objective is to develop several items for SAS so we begin with funding and it’s fantastic because companies truly count on us we truly like a partner and we we help them to not just get funding however work much better in a more efficient method and through that we’re discovering you understand chances to expand you understand in the deal of a SAS item